Government of Nepal Ministry of Agriculture and Livestock Development Singhdurbar, Kathmandu Resettlement Policy Framework Of the Proposed Nepal Rural Economic and Enterprise Development Project July 2020 Rural Economic and Enterprise Development Project RESETTLEMENT POLICY FRAMEWORK Ministry of Agriculture and Livestock Development EXECUTIVE SUMMARY This Resettlement Policy Framework (RPF) is prepared as part of the Environmental and Social Management Framework (ESMF) for Support for the Rural Economic and Enterprise Development (REED) Project of the Ministry of Agriculture and Livestock Development (MoALD), which is being considered for World Bank financing. REED will support productive partnerships among farmers entrepreneurs and their buyers. The partnerships will be assisted in the preparation of their business plans and will be provided grants to fund their own business subprojects. REED will also provide funding for small-scale, "last mile" infrastructure to support the partnerships and their communities. These would include rehabilitation and construction or feeder roads, bridges, ropeways and small water impounding and irrigation schemes, as well as the establishment Regional Market Centers and a Center for Excellence in Agriculture. These construction activities will involve land acquisition which may result in physical and economic displacement of people. People may lose lands, shelter, assets or access to assets, other structures, crops, trees, businesses and livelihood. This RPF sets out the policies, processes and procedures for dealing with these impacts. Existing country's system for eminent domain land acquisition. The Land Acquisition Act of 1977 is the main eminent domain law of Nepal. It enables the Government to acquire land for public purposes and provides for fair and just compensation to private landowners. Under the Land Acquisition Act, compensation to landholders must be paid in cash at current market value, although there is provision for in-kind compensation in some circumstances. This process has most of the elements of World Bank Environmental and Social Standard (ESS) 5 on Land Acquisition, Restrictions on Land Use and Involuntary Resettlement, including provisions for the compensation of loss of assets and grievance redress. The main gap of the Nepal eminent domain process vis-á- vis World Bank ESS5 is that it does not mandate the preparation of a land acquisition and compensation plan specific to the affected area such as the RAP. Another critical gap is the lack of provision for resettlement as a preferred mode of compensation whenever the affected family or persons lose their homes or lose a significant portion of their source of livelihoods. Land acquisition, compensation and resettlement policies for the REED Project. The project will utilize the existing country process for eminent domain land acquisition but will fill in the critical gaps with respect to the World Bank's Environmental and Social Standard #5 (WB ESS5), particularly: (i) the provision for avoidance or minimization of involuntary resettlement impacts; (ii) the preparation of Resettlement Action Plan (RAP) which would allow for the consultation of PAPs and consideration of compensation and resettlement options; (iii) right of the affected person to compensation does not depend on his/her legal status; (iv) differentiated approach of engagement and compensation to indigenous people and other vulnerable project affected persons/families; (v) participatory development planning; and, (vi) information disclosure. Eligible Subprojects. MoALD will screen out potentially problematic subprojects that would: (i) potentially cause the displacement of significant numbers of people; (ii) build a public or communal facility on a private property without sufficient tenure security during the economic life of the facility; (iii) use lands that are subject to any kind of disputes/conflicts; (iv) use lands within protected forests or national parks, except when the subproject itself is deemed part of the park management strategy and approved by the park management; (v) use donated lands without sufficient proof that the act of donation was voluntary. Instruments. The RPF has categorized subprojects into six possible cases. Cases when the subprojects do not result in economic or physical displacement would not require a RAP. They would be required to submit only land acquisition documents. For the rest of the cases, a RAP or LRP will be required. Entitlements. The RPF has identified project-affected persons (PAP) categories. The RPF has identified possible compensation options for each of these categories which would guide the project during the subproject land acquisition and resettlement planning process. Land acquisition planning and implementation. The land acquisition and resettlement planning process will have the following steps: (1) ES Screening; (2) Social Assessment of the Affected Community; (3) Drafting of the Resettlement Action Plan/Livelihood Restoration Plan (RAP/LRP) principles; (4) First round consultation with prospective PAPs; (5) Development of the RAP/documents based on the result of the consultations; (6) Second round of consultation; (7) Finalization of the RAP/LRP and disclosure. The actual implementation of the RAP or LRP will follow the existing government eminent domain land acquisition process with key steps in the RAP/LRP incorporated into the process such as: (ii) the validation of preliminary inventories of affected assets; (iii) the construction of replacement houses (if any have availed of this option); (iv) the finalization and actual payment of compensations; and, (v) the implementation of resettlement program or assistance. No construction works shall be allowed until the required lands or rights of way have been formally acquired and the PAPs have been paid. Monitoring and Reporting. Individual subprojects will prepare monthly report on the progress of land acquisition activities, including the preparation and implementation of the RAP, including the status of individual PAPs. These reports will be consolidated by the Economic Corridor Office (ECO) and included in its periodic reports to the Project Director's Office (PDO). Templates of these reports have been provided in the RPF. The PDO Safeguards unit will consolidate the reports and incorporate them in the project's progress report to be made available to the World Bank's during its bi-annual Implementation Support Missions. The PDO will conduct occasional site visits on selected subprojects to help resolve issues or validate reports on the progress. Grievance Redress Mechanism. In addition to the windows provided by government land acquisition process to file complaints regarding the amount of compensation and appeal for exclusion of the land acquisition process, the project Grievance Redress Mechanism (GRM) described in the ESMF will be available to receive and resolve any grievances regarding land acquisition and the implementation of this RPF will be ensured by 1. providing training on managing GRM system. The PIM will provide details on building capacity and knowledge on GRM management; 2. GRM committee will have three levels and each level will have the representation of concerned government agencies and local levels. 3. Sensitive issues such as determination of compensation will be done by the CDC chaired by CDO of the respective district and ownership of land will be validated by concerned Land Revenue Office. The GRM will systematically record the grievance, take it to the committee and report back to the complaint on the outcome of their complaints. The ESMF of the project, which has been prepared and endorsed by the government, has pledged to establish a multi-tier GRM in every subproject to receive, record, conduct evaluation, and forward legitimate grievances for resolution to the appropriate committee or body. The GRM committees established at the subproject level to hear and resolve grievances will have a designate grievance officer, who will be provided with training on dealing with the grievances related to ESMF and in particular related to land acquisition and RPF. Grievances that cannot be resolved at the sub-project level will be elevated to the ECO levels and so on up to the PDO level. Institutional Arrangements and Budget. This RPF will be implemented as part of the ESMF. The planning and implementation of land acquisition and resettlement shall be the responsibility of the subproject proponent/implementing unit subject to the assistance and quality supervision of the concerned ECOs. Subproject proponents will be required to nominate a focal person for land acquisition activities. This person shall be required to attend a briefing on the RPF implementation before the start of the preparation of the subproject. The focal person will also be invited to attend other relevant seminars/trainings to be conducted during the implementation of the project. The social safeguards specialists and focal persons and some selected project staff shall undergo RPF familiarization workshops at start of the project and participate in periodic coordination meetings. The cost of implementing this RPF, including capacity building have been incorporated in ESMF. The cost of compensation payments and resettlement of PAPs including the preparation shall be part of the subproject's cost estimates. ACRONYMS CDO=Chief District Officer CFC = Compensation Fixing Committee ECO = Economic Corridor Office ESMF = Environmental and Social Management Framework ESS = Environmental and Social Standard FANSEP = Food and Nutrition Security Enhancement Project FPIC=Free and Prior Informed Consent GoN=Government of Nepal GRM = Grievance Redress Mechanism IDP =Internally Displaced Person IP =Indigenous People IPP = Indigenous People Plan IPPF=Indigenous People Policy Framework LAD = Land Acquisition Documents LRP= Livelihood Restoration Plan MoALD = Ministry of Agriculture and Livestock Development MoFALD=Ministry of Federal Administration and Local Development PAP = Project Affected Person/People PDO = Project Director's Office PWD = Person with Disability RAP = Resettlement Action Plan REEDP = Rural Economic and Enterprise Development Project RoW= Right of Way RPF = Resettlement Policy Framework SPAF=Severely Project-Affected Families TA = Technical Assistance VDC=Village Development Council PP = Productive Partnership Table of Contents Executive Summary ............................................................................................................... 2 Acronyms .............................................................................................................................. 5 Table of Contents ........................................................................ Error! Bookmark not defined. List of Tables ............................................................................... Error! Bookmark not defined. 1. Background ....................................................................................................................... 8 2. Project Description............................................................................................................. 9 2.1 Project Organization ............................................................................................................... 10 2.2 Project Activities that may Cause Involuntary Resettlement Impacts ....................................... 10 2.3 Project Location ..................................................................................................................... 11 3. Social Assessment ............................................................................................................ 12 3.1 Socioeconomic Profile of Rural Nepal ...................................................................................... 12 3.2 Land Classification .................................................................................................................. 13 3.3 Landholdings and Tenurial System in Nepal ............................................................................. 13 3.4 Internally Displaced Population .............................................................................................. 14 4. Legal Framework for Land Acquisition.............................................................................. 15 5. Gaps in Nepal's Land Acquisition and Resettlement System Vis-a-Vis the World Bank ESS5 ........................................................................................................................................... 17 6. Land Acquisition and Resettlement Policy of the REED Project ......................................... 19 6.1 Land Acquisition and Resettlement Policy Principles ............................................................... 19 6.2 Categories of subprojects based on the nature of land acquisition and involuntary resettlement impacts........................................................................................................................................ 21 6.3 Required Safeguard Instruments/Documents .......................................................................... 22 6.4 Entitlement Policy .................................................................................................................. 24 6.6 Temporary Easements ............................................................................................................ 26 6.7 Unanticipated Damages/Changes in required area .................................................................. 26 6.8 Cut-off date ............................................................................................................................ 26 6.9 Vulnerable PAPs ..................................................................................................................... 26 7. Planning: Preparation of Resettlement Action Plans ......................................................... 28 8. Implementation: Land Acquisition, Compensation and Resettlement Process ................... 30 8.1 Formal Process of Land Acquisition ........................................................................................ 30 8.2 RAP Implementation .............................................................................................................. 30 8. Monitoring And Reporting ............................................................................................... 32 9. Grievance Redress Mechanism (GRM) .............................................................................. 33 9.1. Grievances Mechanism Embedded in the Government Land Acquisition Process..................... 33 9.2. Projects GRM Available to all PAPs and other Stakeholders .................................................... 33 10. Capacity Building ........................................................................................................... 34 11. Cost Estimate ................................................................................................................. 35 References........................................................................................................................... 36 Annexes .............................................................................................................................. 38 Annex 1. Indicative Contents of the Resettlement Action Plan – The Contents must include at least the following chapters. ................................................................................................................ 38 Annex 2. PAP Census Questionnaire Template – Indicative and this my be supplemented with a more rigorous survey form as per assessed project risk ................................................................. 40 Annex 3. Indicative RAP Monitoring Report Template ................................................................... 41 Annex 4. Indicative Consolidated ECO RPF Implementation Monitoring Report ............................. 42 Annex 5. Inventory of Affected Assets – Indicative and to be finalized by the Valuation Officer for each RAP/LRP .............................................................................................................................. 43 List of Table Table 1. Key Gaps in the Nepal Land Acquisition and Rehabilitation System vis-a-vis the World Bank ESS 5 17 Table 1. Land Acquisition and Impact and Required Instruments/Documents 24 Table 2. Entitlement Matrix for Involuntary Resettlement Impacts of REED subprojects 25 Table 3. Possible additional assistance to be provided to vulnerable PAPs. 27 Rural Economic and Enterprise Development Project RESETTLEMENT POLICY FRAMEWORK 1. BACKGROUND This Resettlement Policy Framework (RPF) sets out the policies, processes and procedures for dealing with the involuntary resettlement impacts of the ground activities of the Nepal Rural Economic and Enterprise Development (REED) Project. The project is being considered for World Bank funding and is required to comply with the World Bank Standards under the new (2018) World Bank Environmental and Social Framework (ESF). The project will involve, among others: (i) developing and nurturing "productive partnerships" (PPs) among smallholder producers (rural entrepreneurs) and players (buyers, processors, distributors, etc.) in the agricultural commodities value chains; (ii) provision of small infrastructure ("last mile infrastructure") to primarily support these partnerships but also to benefit the surrounding communities; and, (iii) market and export support infrastructure. The project will be implemented in at least four (4) economic corridors nationwide, typically along strategic road corridors linking the provinces. The selection and development of specific types and locations of infrastructure and construction activities will be undertaken during the implementation of the project. This RPF is part of the Environmental and Social Management Framework (ESMF) which is based on a rapid assessment of the current environmental and social conditions in the country. The ESMF points to the potential voluntary and involuntary private property/asset losses and restrictions due to land acquisition for the sites, rights-of-way and or easements of public infrastructure and lands for PP facilities. The Resettlement Policy Framework (RPF) will provide common guidance to project management, staff and beneficiaries in the acquisition and compensation of private property and, more importantly, in the management of the involuntary resettlement impacts arising from these acquisitions and to address the needs of the people who are potentially adversely impacted due to involuntary resettlement. This may involve impacts triggered by land and other property acquisition for the purposes of activities under the project and resulting in loss of shelter, assets or livelihoods, and/or loss of productive resources. This policy framework is prepared consistent with the policy and legal framework of GoN and the World Bank Environmental and Social Standard (ESS) 5 on Land Acquisition, Restrictions on Land Use and Involuntary Resettlement. 2. PROJECT DESCRIPTION The REED project aims to enhance the entrepreneurship environment in the rural areas and strengthen the market linkages of rural entrepreneurs by promoting the formation of productive partnerships between farmers, buyers and improving forward and backward linkages in the value chain. The project will have the following core components: Component 1 (Strengthening Market Linkages through Productive Partnerships) - Budgeted at US$ 57 million, this component aims to promote the development of sustainable business partnerships between rural entrepreneurs and players in the agricultural commodity value chain. Specifically, the interventions would involve: (Subcomponent 1a) establishing formal partnerships between smallholder agricultural producers and qualified businesses in the value chain; (Subcomponent 1b) providing "last mile" infrastructure to support these partnerships; and (Subcomponent 1c) supporting the enterprise ecosystem to strengthen market linkages that aims to creating an ecosystem to strengthen market linkages established under Component 1a, by enhancing the capabilities and outreach of intermediary institutions. Component 2 (Supporting the Ecosystem for Rural Entrepreneurship).) - With a proposed budget of US$ 10 million, this component will identify opportunities to support the POs to participate in PPs, including strengthened agricultural services. This underpins the long-term viability of an enhanced ecosystem for rural entrepreneurship and strengthened market linkages established by PPs under Component 1, and beyond. The interventions would include: (Subcomponent 2a) strengthening the regulatory framework and institutional capacity for agriculture and entrepreneurship in the federal structure; (Subcomponent 2b) strengthening the capacity of provincial and local government to strengthen the capacity and coordination mechanism of the concerned public agencies at provincial and local level in the agriculture sector in the Project area; Component 3 (Support to restoring and strengthening COVID-disrupted food supply chain and local economy) will focus on extending support to restoring and strengthening COVID-disrupted food supply chain and local economy. With the proposed budget of US$ 21.5 million the project as part of COVID-19 response will support investments in restoring the regional food and inputs supply disrupted due to the limited movement, lockdown and the restriction of border trade and their long- term safe storage at municipal level to ensure food and inputs security. This will also support post- COVID-19 rural economic recovery as restoring of supply and storage through municipal centers will enable continued operation of intra/inter-municipal level rural based agricultural businesses and value-chains working in inputs sector. Component 4 that focuses on Project Management with a proposed budget of US$ 11 million will provide various supports for the project management. This will cover the activities of the Federal-level Office of the Project Director (OPD) in Kathmandu within MoALD and Economic Corridor Offices (ECOs) that will be established in four selected locations (Province 1, 2, 5 and Sudurpaschim) including the Technical Assistance (TA) firms for the execution of activities. 2.1 Project Organization The project will be implemented through the Ministry of Agriculture and Livestock Development (MoALD) and the ministry will establish the Project Steering Committee (PSC) and the Project Director's Office (PDO) at the federal level. Similarly, the MoALD will form Economic Corridor Technical Coordination Committees (ECTCCs) at the provinces; and Economic Corridor Offices (ECOs) at each of the identified economic corridors. Chaired by the Secretary for the MoALD with representatives from other agencies, the PSC will provide the overall strategic oversight and coordinating body, providing overall guidance during the project implementation. The PDO, headed by the Project Director, will be responsible for the daily management and operations of the project. The PDO will be supported by a Technical Assistance (TA) firm which will provide technical services to, among others, develop and set up operational procedures and criteria, develop a communication campaign strategy, and, training. Based at the provincial Agricultural Ministries, the ECTCCs will be responsible for the overall coordinating and oversight body of the project at the economic corridors and provinces. The ECOs which will be under MoALD will be responsible for implementing the project activities at the economic corridor levels. Each ECO will also be supported by a TA firm which will support the formation of productive partnerships and alliances between entrepreneurs and value chain players, help build capacities at the provincial ministries, and provide technical support to the rural municipalities to develop plans for last mile infrastructure. 2.2 Project Activities that may Cause Involuntary Resettlement Impacts There are basically three types of activities/subprojects that would involve construction activities and hence may require land acquisition. These would emanate from Subcomponent 1a (Productive Partnerships) and Subcomponent 1b (Last Mile Infrastructure). For the purpose of this RPF these activities are referred to as "subprojects". Productive Partnership (PP) Subprojects - Each PP supported by the project will have its Business Plan which shall provide for the core business enterprise of the partnership. As per specification of its contents, the Business Plan will include a subproject which will fund, through a 50% grant to finance assets, working capital and capacity building. The nature, specific types, partnership organization, and locations of these subprojects will be determined during implementation. The Business Plan will be prepared with the help of the Technical Assistant (TA) to be provided by the project through the Economic Corridor Office (ECO). Land acquisition (if any would be required) of PP subprojects are expected to involve only private transactions between two private entities (i.e. willing buyer and willing seller). Land requirements which would require involuntary resettlement of private landowners should not be considered under this component. However, even in private land transactions, there is a possibility of a third party to be affected (e.g. an informal tenant, an IDP or informal dweller who may be evicted). The project must provide applicable safeguards to these transactions. Last Mile Infrastructure (LM) Subprojects. These subprojects will come from Component 1b (Last Mile Infrastructure) will invest in small public good infrastructure that enables connectivity, access to markets, availability of climate smart approaches and, thereby, further scale up of PP activities on a sustainable basis. The Project will implement improved and climate resilient infrastructure investments by promoting bioengineering, storm runoff management and other climate resilient measures during the construction and rehabilitation of roads, bridges and stabilization of landslide prone slopes. The Project will actively promote use of renewable energy for the proposed infrastructure. Land and rights-of-way acquisitions are may be to be required for these subprojects. There would be strong community ownerships for these subprojects, and therefore voluntary donation of land and rights of way by villagers who themselves would be beneficiaries of the infrastructure, are anticipated and should be provided as an option. Where voluntary land donation is not possible, land acquisition through negotiated settlement will be pursued as the primary course of action. In the case of rehabilitation of existing roads and bridges, relocation of informal settlers may be required, and this would need to comply with the safeguards. Support to restoring and strengthening COVID-disrupted food supply chain and local economy: The component 3 aims to support investments in (i)Four regional market centers, COVID-compliant physical venues that enable supply, safe storage and handling of foods and inputs at regional scale, trade and market linkage engagements and restoring agribusiness and value-chain along selected economic corridors and, (ii) municipal agriculture centers at local level that will enable safe food and seed storage, provide a locale for breeder seeds and other agricultural inputs’ distribution in supply to local population, other agri-businesses, producers and farmers. Though the market center will be constructed/upgraded in the government-owned land, the Municipal agriculture centers, which will be constructed/upgraded in the participating rural municipalities, may require acquisition of private land, which may trigger involuntary resettlement. In case of private land acquisition, applicable safeguards will be applied in the transactions. 2.3 Project Location The project is expected to cover all seven (7) provinces. The project will prioritize project locations based on North-South and East-West road corridors, which connect provinces, and where main roads have created opportunities to link rural agriculture catchment with markets. The criteria for selection of sites could include economic potential, including SME intensity, scalable value chains identified by Country Private Sector Diagnostic for Nepal and other studies, intensity of financial access as well as density of youth population. The following highways/main roads have been identified as such economic corridors: • Province 3 (Bagmati) and 1 (Kosi): Mid-hill highway • Province 2 (Janakpur): East-West Highway. • Province 5 (Lumbini): Bhalubang-Rolpa Highway • Province 7 (Sudur pascchhim): Dhangadhi-Darchula Highway 3. SOCIAL ASSESSMENT 3.1 Socioeconomic Profile of Rural Nepal Demography. Nepal is basically a rural country with about 80% or about 22 million of the population still resident in the rural areas. According to the Annual Household Survey conducted by the Government of Nepal, the average household size in rural areas is 4.8 which is slightly higher than the national average of 4.6. The population is young with about 46% of the population still below 20 years old. According to the last census carried out in 2011, about 60% of the population is within the working age bracket of 15 to 64 years old. Socioeconomic Conditions. The census of 2011 indicated that the literacy rate among the population of 6 years or above in Nepal is 65.9% with a male literacy rate of 71.6% and a female literacy rate of 44.5%. The overall rural area literacy rate is 62.49% while in the urban areas it is 84.22%. Although progress has been achieved during the last decade, poverty incidence is still high at 25% with a rural poverty rate of 27.4% almost twice the urban poverty rate of 15.5%. Within the rural population, poverty rates are highest among landless and near-landless agricultural wage laborers (58%); smallholder households (50%); the formerly untouchable castes (48%); indigenous nationalities (20–61%); and Muslim groups (43%). Malnutrition is also a significant concern with about a million children (36%) suffering from chronic malnutrition (i.e. showing signs of stunting or low height-for-age) and 10% suffering from acute malnutrition (i.e. exhibiting signs of wasting or low weight for height). Ethnic Minorities and Hindu Caste System. Nepal ethnically diverse and this is complicated by the highly stratified and hierarchical social structure of the Hindu caste system. The caste system dictates social and economic status and opportunity to a large extent. Two groups have been particularly disadvantaged in this regard: the socially excluded and marginalized Dalits, and the indigenous groups now collectively referred to as Adivasi Janajati. These groups account for a significant portion of the country's population. Based on the 2011 census, the indigenous nationalities (Adivasi Janajati) of Nepal comprise 36% of the population while the Dalits (and other groups which have been systemically excluded) may comprise around 20%. The Caste Based Discrimination and Untouchability (Offence and Punishment) Act (2011) criminalizes caste-based discrimination, prescribing that ‘every person has the right against untouchability and discrimination.’1 More importantly the Act specifies prohibited acts and actions and provides for punishments for violations. The Constitution of Nepal (2015) provides for the right to equality for all citizen and makes specific mention of Dalits. Specifically, Article 18 (Right to Equality) asserts that all citizen shall be equal before the law and that no discrimination shall be made in the application of general laws on grounds of caste, or on grounds of other specific social, demographic and cultural groupings and categorizations. The Local Government Operations Act 2017 aims to institutionalize the process of development through wider participation, including that of the Dalit communities. It requires local bodies to undertake activities for the benefit of women, less developed communities and groups. However, the social structure remains deeply ingrained in the Nepalese culture and the people who belong to the lower caste continue to be disadvantaged in education and employment. 1 Caste-based Discrimination and Untouchability Act, 201, Section 3(1) Infrastructure. In terms of road, about 40% of Nepal's rural population live more than two hours from a paved road, while 20% percent of rural residents live more than two hours from a vehicle road that is not paved. Access to electricity of the rural population is about 95%, which is a significant improvement from only 17% as of 2001. About half (1.4 million hectares) of agricultural land in Nepal has irrigation facilities. 3.2 Land Classification According to the Land (Survey and Measurement) Act, 2019 (1963), land tenure in Nepal has been categorized as 1. Private Land 2. Government Land 3. Public Land 4. Community Land and 5. Guthi Land. Private lands represent about 28% of lands in Nepal. Nepal recognizes two private land tenure types: ownership and leasehold. Landowners have rights to exclusivity and use of their land and can freely transfer their land and pass the land by inheritance. The Land Reform Act 1964 as amended by the Land Ordinance Act (2005) imposes ceilings on land ownership, subject to various factors such as geo-ecological variations, soil types, average precipitation, other climatic conditions as well as land use types such as irrigated land, rain fed land, grazing land and average family size. These ceilings are currently at 3.75 hectares in the hills, 1.5 hectares in Kathmandu Valley and 7.43 hectares in Terai and Inner Terai. State lands include public land (defined to include wells, ponds, pathways, grazing land, cemeteries, market areas, etc.) and government land (defined to include roads, government offices, and land under government control, such as forests, lakes, rivers, canals, and barren land, etc.) It is estimated that about 72 percent of land in Nepal is state land. Guthi land is land held by religious bodies for religious or philanthropic purposes and is not subject to taxation. Guthi land includes temples, monasteries, schools, hospitals, and farmland managed by religious institutions and individuals. About 0.03 percent of land in Nepal falls into this category. 3.3 Landholdings and Tenurial System in Nepal Nepal has an estimated 2.7 million hectares of agricultural land or about 18.3% of the total land area, while about 44.7 percent land of Nepal is classified as forestland, and nationally protected areas make up 17.32 percent of the total land. Land distribution. There is a significant imbalance in land distribution in Nepal. The top 7% of the of the households for example occupy 31% of the agricultural land while the bottom 20% own only about 3%. About forty-six percent (45.7%) of agricultural households own between half a hectare and three hectares of land and occupy 69.3 percent of total cultivable land. About fifty- three percent (52.7%) of those households own half a hectare or less and occupy 18.5 percent of cultivable area. The average size of agricultural landholding is 0.7 hectares in rural areas and 0.5 percent in urban areas. It is estimated that about five percent households do not own any land but work other people’s land on a contractual basis. Eighty-four percent of farms in Nepal are owner operated. About 10 percent of land is held under some form of registered tenancy. However, the actual incidence of tenancy is probably higher due to the presence of informal unregistered tenants. It is estimated that 31% of the farmers are tenants (i.e. leasing lands). Most tenants are not entirely landless but are just taking in additional land to till. The purely landless farmers are estimated to occupy only about 2 percent of total farm holdings in the country. Sharecropping is the most common form of tenancy. The most common form of sharecropping arrangements is the short-term rental known as adhiya. Under adhiya, the tenant provides the labor and landowners supply some percentage of inputs. In principle, the tenant and landowner receive equal shares of the production, but the tenant rarely receives a half-share, either because he or she is in debt to the landowner or the landowner has supplied all the inputs. A second tenancy system, thekka, requires the tenant to pay a fixed share of production to the landowner. Highly exploitative systems that survived land reforms (such as those in which the tenant takes one-third or a one-tenth share and continuation of bonded labor, despite the law rendering them illegal) are still known to exist. 3.4 Internally Displaced Population More than 70,000 people were displaced during the 10-year civil conflict (1996–2006). Thousands of internally displaced persons (IDPs) returned to their homes following the signing of the peace accord in 2008, often finding that their land had been confiscated or claimed by others during their absence, and they lacked the documentation necessary to qualify for state support for IDPs. Displaced single women are particularly vulnerable because many are unable to recover compensation for property that has been expropriated and they lack the capacity and social standing to pursue new livelihood options. Internally displaced children and women are particularly vulnerable to trafficking, sexual exploitation, and child labor (IDMC 2010). Meanwhile about twenty-six thousand people have been displaced as a result of the 2015 earthquake. Because of lack of formal land documentation many have been excluded from reconstruction and rebuilding efforts. This forces people to continue living in the risky areas or move to public lands as informal dwellers, where they are always at risk of eviction. 4. LEGAL FRAMEWORK FOR LAND ACQUISITION Key laws and codicils are summarized below: Constitution of Nepal of 2015. The Constitution of Nepal allows the state to acquire land where such acquisition is in the public interest. The government must compensate landholders for any land-taking, including any acquisition in the course of land-reform initiatives set by the law (Art 25 of the Constitution). Article 25 (3) of the Constitution states that the basis of compensation and relevant procedures shall be prescribed by law. The Land Acquisition Act (LAA) of 1977 [as amended by the Administration of Justice Act (1977), the Act Amending Some Nepal Acts (1992), the Act Amending Some Nepal Acts (1998); and in Republic Strengthening and Amending Some Nepal Acts (2010)]. LAA enables the Government to acquire land for public purposes and provides for fair and just compensation to private landowners. Section 3 of the Act states that “Government of Nepal may, if it deems necessary, acquire any land at any place for any public purpose, subject to compensation.� According to the Act, public purpose means undertaken in the interest of or for the benefit or use of the general public, or functions to be undertaken by Government of Nepal which include state/provincial government or the works related to the project approved by Government of Nepal and project undertaken by local bodies in different levels. Section 4 of the Act also allows acquisition of lands by government for institutions. "Institutions" being companies, boards, or corporations established or formed pursuant to law. Specifically, the Act stipulates that government may decide to have land acquired for institutions subject to payment of compensation and all other expenses to the government, for purposes of staff housing, land related to a project of the institution and lands for agricultural research. The LAA provides that compensation for land and related assets shall be paid in cash. There is a provision for a replacement land for those whose lands are acquired in whole, when there is available land, but this is to be determined by the government (See LAA, Section 14). As per the regulatory provisions the determination of the amount of compensation shall be done by the Compensation Fixation/Determination Committee (CFC/CDC) composed of: (i) the Chief District Officer; (ii) Land Administrator or Chief of the Land Revenue Office; (iii) The Project- in-chief, if the land has been acquired for a project; and (iv) A representative of the District Development Committee (DDC). In determining the amount of compensation, the CFC takes into considerations any "(a) guidelines issued by Government of Nepal from time to time in respect to the fixation of compensation and, (b) the losses suffered by the concerned person as a result of his having been required to relocate a residence or the place of his/her business by reason of acquisition of the land. The actual compensation amount is based on the following: (a) The price of the land at the time of the publication of a notice of land acquisition; (b) The value of the crops, houses, walls, sheds, etc. if any, will be lost due to the taking of land; (c) The losses which the concerned person will suffer as a result of shifting his/her residence, or the place of his/her business, by reason of the acquisition of his/her land; and, (d) In case the land to be acquired happens to be part of the land taken excess of the ceiling on landholding prescribed in the Lands Act of 1964, the amount of compensation shall not exceed the amount payable under the Lands Act 1964. The LAA sets time limits in terms of compensation to be received. The Act states that in cases where the concerned person fails to receive compensation within the time limit prescribed, or refuses to accept it, the local officer shall issue the last three-month notice for receiving such compensation. Where the concerned person fails to receive compensation even within a given time-limit, he/she shall not be entitled to any compensation and the amount allocated for compensation shall be deposited to consolidated fund of the government.2 Further, as per the LAA the impacted person is permitted to lift the crop, tree or building or wall constructed on the acquired land. In cases where the concerned person fails to do so within the time limit prescribed by the act, the local officer may impound the same, and no claim by such person to such crops, trees, house, or wall shall be entertained. The LAA provides for the issuance of at least three notices for intent to acquire land and property: (i) Notice of Preliminary Action; (ii) Notice of Land Acquisition; and (iii) Notice of Compensation Entitlements. In each of these notices, the LAA provides a window for the PAPs to make an appeal and lodge complaints. The LAA also provides that Government of Nepal may acquire any land for any purpose through negotiations with the concerned landowner. It shall not be necessary to comply with the procedure laid down in this Act while acquiring lands through negotiations. The Land Act, 1964. The Land Act, 1964 aimed to divert passive land-based labor and capital to boost economic development in the country, initiate an equitable distribution of cultivable land among all sections of the society, empower the actual tillers who completely depend upon land for their livelihood, and increase agricultural productivity. This Act abolished the established zamandari system on land ownership and introduced ceilings on land ownership. The ceilings vary depending on geographical location of the land. Accordingly, the maximum ceiling for an agriculture holding was fixed at 6.6 hectares, while the largest homestead was allowed to cover 0.66 hectares. All the land in excess of these ceilings was transferred to the government upon payment of compensation. The land acquired may be sold or re-allotted. Exemptions on these ceilings was granted to the land owned by the government, industries, educational and medical institutions and under specific conditions for agriculture purposes. Similarly, the land ceiling was also waived for the land under the jurisdiction of the Guthi corporation and land held by cooperative agriculture societies. The Fourth Amendment to the Act in 1966 abolished tenancy in 2 As per the provision stated in the section 36 of the Land Acquisition Act land. The amendment allowed tenants to either retain land ownership on 50 percent of the land that they were farming or to accept a cash payment based on the current value of the land. National Land Acquisition, Resettlement and Rehabilitation Policy (2015). In March 2015, the National Planning Commission of Nepal approved and introduced Land Acquisition, Resettlement and Rehabilitation Policy. The policy allows land acquisition without jeopardizing the livelihood of people who have to be relocated from the infrastructure construction or the infrastructure project site. The policy emphasizes the need to conduct an economic and social impact assessment (SIA) of the development project, which was not a requirement under the LAA 1977 and the preparation of Resettlement Action Plan. However, although there have been efforts to initiate amendment to the LAA to aligned it with the policy, it has never materialized, and the policy remains non- binding. 5. GAPS IN NEPAL’S LAND ACQUISITION AND RESETTLEMENT SYSTEM VIS-A-VIS THE WORLD BANK ESS5 The main difference of the Nepal land acquisition system vis-á-vis World Bank ESS5 is that Nepal’s system focuses on acquisition of land from formal property owners and not on impacts of the land acquisition. The legislation itself provides mainly for the eminent domain land acquisition process. The legislation does not address the socioeconomic impact associated with land taking beyond compensation. As such, it does not mandate the preparation of a Resettlement Action Plan (RAP) or similar instrument. Without the participative planning process afforded by RAP preparation, the current government process does not allow for the consideration of options and other arrangements which may be reached during consultations and negotiations with project affected people. Another critical gap is the lack of provision for planned resettlement as a preferred mode of compensation whenever the affected family or persons lose their homes or lose a significant portion of their source of livelihoods or would be uprooted from their traditional homeland (in the case of large infrastructure projects). The key gaps in the system is presented in Table 1 below: Table 1. Key Gaps in the Nepal Land Acquisition and Rehabilitation System vis-a-vis the World Bank ESS 5 Key Element of ESS5 WB ESS5 Nepal System Planning Social assessment No formal planning only Preparation of Resettlement fixed/standard procedure Action Plan through participatory No provision for consultation process and/or consultation Mode of acquisition Negotiated purchase Negotiated purchase Donation Donation Expropriation Expropriation Impacts considered Loss of assets Loss of assets Disturbance costs and associated Disturbance and associated expenses expenses Loss of access to resources Broader social and economic consequences (physical and economic displacements) Compensation Options developed with PAPs Cash through consultations: Replacement Land if available Cash or in-kind such as: at the discretion of the Replacement lands government Replacement homes Rehabilitation program Community/Livelihood development program Other form of assistance Delays in accessing Requires that on an exceptional Time limit to take up compensation basis, with prior agreement of the compensation as per LAA Bank, the Borrower may deposit compensation funds as required by the plan (plus a reasonable additional amount for contingencies) into an interest- bearing escrow or other deposit account and proceed with the relevant project activities. Compensation placed in escrow will be made available to eligible persons in a timely manner as issues are resolved Vulnerable PAPs Differentiated treatment of No special provision for vulnerable groups; provision of vulnerable PAPs assistance depending on needs Eligible for All legal claimants Legal claimants only including Compensation and informal occupants on registered agricultural tenants structures and land Grievance Redress Required without restriction as to Allowed but restricted to a few Mechanism the nature of complaint and time key decisions only and limited period within a fixed period Monitoring and M&E system is required as part of None Evaluation the RAP; Status of the PAPs monitored and evaluated This RPF makes provision for the gaps to be addressed. 6. LAND ACQUISITION AND RESETTLEMENT POLICY OF THE REED PROJECT The project's policy on land acquisition and resettlement is based on the country system described above, filling in the critical gaps with respect to the World Bank's Environmental and Social Standard 5 (ESS5), particularly: (i) the provision for avoidance or minimization of involuntary resettlement impacts; (ii) the preparation of Resettlement Action Plan (RAP) which would allow for the consultation of PAPs and consideration of compensation and resettlement options; and, (iii) the support to be provided to vulnerable groups. The following will apply to each REED subproject that are deemed to have involuntary resettlement impacts as per the ES Screening as applied during project identification: 6.1 Land Acquisition and Resettlement Policy Principles 1. Preferred mode of acquisition of land. To protect smallholder and Dalits from undue pressure and influence of local officials and peers in the project communities, the mode of acquisition shall preferably be negotiated sale. Voluntary donation shall be accepted but shall be strictly voluntary and subject to review as to suitability. Before accepting voluntary donation of the land, the project will make sure that (i) Deed of Donation indicating donation was made freely and without any pressure from anybody; as well as (ii) minutes of a prior consultations that proves that the PAPs were informed of their rights to demand full compensation and the concerned PAPs fully understood the legal provisions and rights. Expropriation (i.e. exercise of eminent domain acquisition) shall be a last resort. 2. Avoidance and minimization of involuntary resettlement impacts. In selecting subproject locations and designs, proponents shall first strive to avoid and minimize involuntary resettlement impacts especially physical displacement, defined here as loss of homes requiring the occupants to relocate and reestablish residence elsewhere; and economic displacements, defined here as loss of the household's productive assets, or access to assets, or income earning capacities. Where displacements are unavoidable, people losing assets, livelihood and access to resources, shall be compensated and assisted in improving, or at a minimum regaining, their former socioeconomic status and living standard at no cost to themselves. 3. The affected person's legal status on the land shall not preclude him from receiving compensation/assistance for other lost assets and restriction of access to resources resulting from the taking of land. Project-affected persons irrespective of their legal status as per the ESS 5 (10) will be entitled to compensation and assisted in regaining their standard of living at least to pre-project level. The PAPs who do not have recognizable legal claim to the land will receive compensation for lost assets other than land (such as crops, structures, irrigation canals, ripraps, and other improvements made to the land) at replacement cost and the compensation will be available prior to the taking over of assets. Tenants and leaseholders will be compensated for the remaining unserved period of the rent/lease and for the disturbance caused by the untimely termination of contracts. For leased land plots, compensation will be paid to renters for their actual losses and assistance will be provided to allow access to some other land to continue agricultural activities. Owners of crops and trees who cannot legalize the land will be compensated for crop or tree losses as per this RPF. 4. Differentiated approach and compensation/benefits to indigenous people and other vulnerable project affected persons/families. The Environmental and Social Assessments (in whatever form would be required: ESIA, IEE or Rapid Assessment) would provide initial inputs about the prevalence of vulnerable populations including any affected indigenous peoples in the subproject area. This will be used to initially identify approaches and measures in regard to vulnerable people and indigenous peoples in the draft RAP. Actual vulnerable groups and individuals will be identified during the census of the PAPs which will happen during the RAP preparation. They will be accorded special attention and assisted in accordance with their special needs and circumstances which will be known through the Census (See Census Questionnaire in Annex 2). Members of the indigenous people shall be consulted. Where required under ESS7, a process of free, prior and informed consent (FPIC) with indigenous groups will be undertaken. Other vulnerable people shall be consulted and given appropriate assistance based on their needs and socioeconomic conditions. The capacity building on the implementation of the RPF is incorporated in the capacity building plan of the ESMF 5. Information disclosure and participatory approach. All information related to resettlement preparation and implementation will be disclosed to all concerned, and people’s participation will be incorporated in planning and implementing the subprojects asper ESS 5 (17 and 18). 6. Gender considerations. Women have important economic roles in the project area. They are usually engaged in a wide range of income-generating activities in the agricultural and other sectors and the RAP process must ensure that consultation takes informed consideration of their need into about (ESS 5: 18). The project will pay particular attention to ensure that women are the recipients of compensation that is relevant and at least proportional to their activities and ensure that women who are de facto household heads are clearly listed as beneficiaries of compensation and assistance. Beyond considering women-headed households as vulnerable, the means to accomplish this include: • Including women as enumerators in the survey team or leaders in focused group discussions; • While preparing profiles of affected people and households, disaggregating it by ethnic groups and by gender to understand how many women are likely to be affected, establish their pre-project conditions; • Actively identify heads of households by gender; • Include women in the team that carry out consultation processes and that determine compensation entitlements, include women in consultations and as survey respondents; if low proportion of women attends consultations, design alternative consultation methods such as focus group discussions or individual outreach to engage women; • Where joint ownership title is held (e.g. by husband and wife), deliver compensation to both owners. Or, ensure the written agreement of one owner to transfer compensation to the other; Considering the disproportionate impact that resettlement has on women and accounting for that in developing compensation packages; and, Ensuring that monitoring of resettlement is attentive to women’s issues and whether additional measures are required to ensure the objectives of the program are met for affected women The capacity building on the implementation of the RPF is incorporated in the capacity building plan of the ESMF 6.2 Categories of subprojects based on the nature of land acquisition and involuntary resettlement impacts Each subproject shall undergo ES Screening as provided for in the ESMF. The ES Screening will initially determine whether the subproject will require involuntary land acquisition or restrictions on use which will cause physical or economic displacements. The ES Screening will categorize the REED subproject based on the nature of land acquisition and the resettlement impacts: Case 1: Subprojects requiring involuntary land acquisition or restrictions on use resulting in economic or physical displacement. These will trigger the provisions of ESS 5. Case 2: Subprojects requiring restrictions on use but do not result in economic or physical displacement of people. These will trigger the provisions of ESS 5. Case 3: Subprojects requiring non-eminent domain land acquisition (willing buyer willing seller or donation) but with potential economic and physical displacement of informal occupants. These will trigger the provisions of ESS 5. Case 4: Subprojects which does not require land acquisition but may economically or physically displace people. This could happen in government held lands which has informal settlers or squatters on them. These will trigger the provisions of ESS 5. Case 5: Subprojects requiring non-eminent domain land acquisition (willing buyer willing seller or through free and voluntary donation) and do not result in economic and physical displacement. These are excluded from further consideration as they do not trigger the provisions of ESS 5. Case 6: Subprojects which does not require land acquisition and do not economically and physically displace people. These are excluded from further consideration as they do not trigger the provisions of ESS 5. Eligibility of Subprojects MoALD anticipates that Resettlement Action Plans or Livelihood Restoration Plans would be scaled to fit the environmental and social risk profile of the specific subproject. The subprojects are small-scale and most of would probably require only a few hundred square meters of land. Even Market Centers, given the budget available, would be small in scale. Moreover, project will be implemented in the rural area where settlement density would be low. Road rehabilitation subprojects would probably already have its right-of-way; in which case impacts on homes and structures would only be partial. New road openings, if any, as well irrigation canals must be aligned such that physical displacement is avoided as far as is possible. To ensure that this so, the project will not fund subprojects that would result in displacement of more than 12 homes (residential dwellings) or subprojects for which the cost of resettlement would be more than 20% of the total cost of the subproject. This eligibility criterion has been incorporated into the ES Screening Form (See Annex 1 of ESMF). In addition, the project must endeavor to avoid complex land issues which may cause delays in the start of construction and prevent timely completion of subprojects. To minimize issues and ensure compliance with ESS5, all land acquisition for REED subproject shall be subject to the following restrictions: 1) No private land or property will be used in the subprojects, except in PP in which case the land where the PP facility will be constructed shall be communally owned by the beneficiaries of the facility. If not owned, it should be covered by a secure tenurial instrument which would allow the beneficiary association/organization to use the land throughout the economic life of the PP. All other Subprojects shall use lands only that are owned, registered, or legally already acquired and in the possession of MoALD, the Municipality or the Province. 2) No land subject to any kind of disputes/conflicts will be used for the subprojects. 3) No land under protected forests/national parks will be used, except if the subproject is allowed within the proposed site as part of the protected area/park management strategy, and the subproject is approved by the protected area management body. Subprojects involving harvesting of non-timber forest products which necessitate access to officially classified forest area may be allowed provided they are cleared by DoFSC and that the direct beneficiaries (i.e. members of the productive partnership, in case of PP) are all traditional users of forest. 4) No private land donated by the owners will be accepted and used without complying with the following proof of voluntary donation: (a) A deed of donation stating the voluntary nature of donation, signed by the donor in favor of the project; and, (b) Minutes of consultation meetings with the affected communities, indicating that the affected communities where the donor resides are informed of their right to just compensation of their properties. Although full information may not be available during ES Screening, these restrictions have been included in the ES Screening Form so that the proponent of subprojects would be aware of the requirements. These requirements will be reviewed and validated for compliance during the preparation of the RAP or land acquisition documents and as a condition for the issuance of safeguards clearance before procurement. The capacity building part on the implementation of these procedures is incorporated in the capacity building plan of the ESMF 6.3 Required Safeguard Instruments/Documents As discussed above, RAP and LRP documents would be scaled to project risk. Some projects would need only an inventory of affected assets, their estimated values and the mode of compensation which is agreed by the PAP would suffice. Annex 1 for this RPF provides an indicative Table of Contents of RAP/LRP while Annex 5 provides the Inventory of Asset Form. Table 1 shows the type of instrument required for each case/category of subproject. Table 1. Land Acquisition and Impact and Required Instruments/Documents Case Instrument/Documents Required Case 1. Subprojects requiring involuntary land Resettlement Action Plan or Livelihood Restoration acquisition or restrictions on use resulting in Plan (Annex 1) economic or physical displacement. These will If land is donated: (i) Deed of donation; (ii) Minutes of trigger the provisions of ESS 5. Consultation indicating PAPs were informed of their rights to just compensation. Case 2: Subprojects requiring restrictions on Resettlement Action Plan or Livelihood Restoration use but do not result in economic or physical Plan (Annex 1) displacement of people. These will trigger the Inventory of affected assets (Annex 5) provisions of ESS 5. Minutes of Consultation If land is donated, (i) Deed of Donation and; (ii) the minutes of consultation should indicate that the PAPs were informed of their rights to just compensation. Case 3: Subprojects requiring non-eminent Resettlement Action Plan or Livelihood Restoration domain land acquisition (willing buyer willing Plan (Annex 1) seller or donation) but with potential economic Inventory of affected assets (Annex 5) and physical displacement of informal Minutes of Consultation occupants. These will trigger the provisions of If land is donated, (i) Deed of Donation and; (ii) the ESS 5. minutes of consultation should indicate that the PAPs were informed of their rights to just compensation Case 4: Subprojects which does not require Resettlement Action Plan or Livelihood Restoration land acquisition but may economically or Plan (Annex 1) physically displace people. This could happen Proof of ownership of, or proof of adequate tenure on in government held lands which has informal site/lot by the Subproject Proponent/Government. settlers or squatters on them. These will trigger (Adequate tenure means that the lot to be used by the the provisions of ESS 5. subproject is covered by a long-term lease agreement sufficient for the economic life of the subproject.) Case 5: Subprojects requiring non-eminent Proof of ownership of, or proof of adequate tenure on domain land acquisition (willing buyer willing site/lot by the Subproject Proponent/Government. ( seller or through free and voluntary donation) Minutes of Consultation and do not result in economic and physical displacement. These are excluded from further consideration as they do not trigger the provisions of ESS 5. Case 6: Subprojects which does not require None land acquisition and do not economically and physically displace people. These are excluded from further consideration as they do not trigger the provisions of ESS 5. 6.4 Entitlement Policy The general entitlements of PAPs by tenure/ownership status and type of asset affected are summarized in Table 2 below. This Entitlement Matrix is a generic presentation of entitlements in compliance with ESS5. The actual Entitlement Matrix developed in the individual subproject RAP or LRPs may contain different entitlement items, depending on the local conditions. Table 2. Entitlement Matrix for Involuntary Resettlement Impacts of REED subprojects Type of Loss Tenure Status Entitlements of PAP 1 Non-residential/ Owner Replacement value for the land as per ESS 5 Agricultural land (less (Note compensation for crops and structures on land will be than 25% of PAP's treated separately. See below) productive total landholdings) 2 Non-residential/ Owner Option 1: Replacement value for the land as per ESS 5 Agricultural land (The actual types of livelihood support will be determined (more than 25% of during consultation with PAPs in the preparation of individual total productive RAPs.) landholdings. Option 2: Replacement land of equivalent area and quality if available. (Note compensation for crops & structures on land will be treated separately. See Rows 9 and 10 below) 3 Non- Tenant/ Option 1: Share of the replacement value compensation for land residential/Agricultural Leaseholders (as per Tenancy Act). (The types of tenancy shall be determined land during the preparation of individual RAPs) Option 2: Replacement land as tenant 4 Entire Residential Owner resident Option 1: Replacement value of lot; Replacement cost of house and residential structure without depreciation; Disruption allowance; Transport land assistance for belongings within 20 km radium; Resettlement allowance to help reestablish residence. This may include rental allowance. Again, the final form will depend upon each situation which will be determined during the preparation of individual subproject RAPs. Option 2: Replacement house and lot in a chosen resettlement site with basic amenities; Balance of the replacement value of the original house if higher; Resettlement allowance including temporary dwelling pending completion of construction of new house in the resettlement site. 5 Temporary Loss of Business Cash compensation for the duration of loss of income. Business/Livelihood Owner 6 Permanent loss of Business/ Cash compensation of the loss during disruption; Resettlement business or Livelihood Livelihood allowance; Livelihood development assistance/program as part Source Owner of the Subproject. 7 Place to Stay Renter/Lessee Refund of the unserved/unfilled rent; Assistance in finding a (Premature place to rent; transport allowance; disruption allowance. Termination of Lease) 8 Place to Stay Informal Compensation for the structure of the abode (if owned by the (Displacement of dweller/ informal dweller) equal to replacement cost without informal dweller) squatter depreciation; Assistance in finding a place to relocate; Transport assistance of belonging to maximum of 20 km. 9 Structures or Part of Owner of the Replacement value without depreciation House affected structure 10 Trees and Crops Recognized Replacement value. Type of Loss Tenure Status Entitlements of PAP owner of trees and crops 6.6 Temporary Easements Temporary easements are requirements for space (easements) during construction such as alternative routes or detours, access roads, spoil disposal areas, worker's camps and equipment and supply yards. These land requirements are expected to be negotiated by the Contractors with private owners on terms that are mutually agreed by two private parties. If, however, the project or the local government themselves secure these easements for the contractors, the compensation should be market rental for the land and compensation to structures, trees and crops as provided for in the Entitlement Matrix (Table 2 above). 6.7 Unanticipated Damages/Changes in required area Unanticipated land needs such as additional area or right of way shall be subject to the Entitlement Matrix above and negotiations with owners. However, if the damages are caused by the contractor, these shall be settled by the contractor with their owners and claimants. 6.8 Cut-off date The cut-off date shall be the date, the affected property has been surveyed/measured as part of the census as per ESS 5 (20). During the survey, an inventory of the affected items shall be undertaken. The owner/claimant shall be required to sign the inventory. This date may differ from one affected property to another depending on when the survey was completed. In practice the date of the publication of the Notice of Land Acquisition is regarded as the cut-off date. However, this is difficult to enforce without the inventory of the affected assets and in which the PAP has also concurred in writing. 6.9 Vulnerable PAPs Based on the socioeconomic conditions of the country, the vulnerable and disadvantaged groups to be encountered in the project area may include: (i) Dalits; (ii) indigenous people (Adivasi Janajatis); (iii) internally displaced people; (iv) single women headed households; (v) elderly household heads; (vi) household living below poverty threshold; (vii) households with undernourished young children; (viii) landless farmers/laborers; and (ix) persons with disabilities. PAPs belonging to these groups shall be identified and their conditions carefully considered in the consultation approach and in the type of assistance to be extended. The RAP/LRP shall develop project specific s definitions and estimate of the presence of the vulnerable people and identify options for approaches and assistance. The types and nature of assistance shall be determined during consultations and/or individual negotiations with the concerned PAPs or their groups. Table 3. Possible additional assistance to be provided to vulnerable PAPs. Vulnerable PAP Approach/Assistance that maybe extended Dalits • Consultation • Employment in the subproject; • Provision of livelihood project IP/Adivasi Janajatis • Free and prior informed consultation/consent when required as per ESS7; • Preparation and implementation of Indigenous Peoples Plan following the IPPF. Internally displaced • Provision of replacement housing unit in a relocation site or (earthquake victims, displaced linked to existing local government relocation program by conflict) • Assistance in finding temporary house during ... Household below poverty • Employment at the subproject construction threshold Single women-headed • Livelihood assistance such as provision of training and materials households for a complete start-up livelihood module • Assistance in demolition, transport of belongings and materials, and in reconstruction of abodes Elderly and PWD headed • Assistance in harvesting of affected crops/trees before households construction which as per LAA are normally left to the PAPs to do • Assistance in demolition, transport of belongings and materials and in reconstruction of abodes. Landless farmers/laborers • Employment in the subproject Households with PWD, • Transportation during transfer elderly and small children • Assistance in finding a place to move to • Special care and food allowance during transfer 7. PLANNING: PREPARATION OF RESETTLEMENT ACTION PLANS The Resettlement Planning Process for the REED project will have the following steps: (1) ES Screening; (2) Social Assessment of the Affected Community; (3) Drafting of the Resettlement Action Plan (RAP)/Livelihood Restoration Plan (LRP) Required Documents; (4) First Round of Consultation; (5) Revision of the RAP/LRP Documents; (6) Second Round of Consultation; (7) Finalization of the RAP/LRP Documents and Disclosure. 1. ES Screening - An Environmental and Social Screening Form has been developed to guide the subproject proponent (PP, Municipalities, PP Brokers, TA firms). Every proposed subproject will be subjected to social screening process before it is selected for inclusion in the project. The ES Screening Form that has been provided in the Annex 1 of the ESMF contains checklists on social aspects of the subproject. The screening will determine, among others, the eligibility of subprojects for funding under the project; the scope of the ESIA (which would cover both indigenous people and involuntary resettlement impacts), the need for RAP, LRP, IP Plan, etc. The form will be validated and finalized by the ECO Safeguards Specialists during subproject validation as part of the process of subproject evaluation. Social screening will be carried out in close consultation with various primary stakeholders - beneficiaries; affected people, women, vulnerable and indigenous people, Dalits and other local key informants. 2. Social Assessment of the Affected Community. The social assessment here is the component of the main EA instrument (i.e. ESIA, IEE or ESMP), the scope of which should include information sufficient to determine any land requirements and any acquisition and resettlement impacts. NB: Note on the scope, level of details and methodology of the Social Assessment. As a component of the ESIA/EIA/IEE or ESMP instrument, the level of details and scope of the social assessment will depend upon the results of the Screening (See ES Screening Form Annex 1 of the ESMF). Moreover, as all subprojects of REED are likely to be small-scale, village level undertakings the assessment a rapid rural assessment would suffice for most Subprojects, but this would be subject to risk assessment as part of the ES Screening. 3. Census of PAPs. The proponent with the assistance from ECO shall conduct a Census (i.e. a 100% enumeration survey) of all the PAPs. The census will provide baseline socioeconomic data on the PAPs and their households. Specific information about the PAPs and their households will also be used in identifying vulnerabilities and determining the appropriate assistance to be extended and approaches to be employed during the land acquisition resettlement process. An indicative guide questionnaire has been developed and provided in Annex 2 of this RPF. The valuation of affected assets will be undertaken by the District-level Compensation Fixation Committees (CFCs). The CFC for the project activities will be the district level compensation fixation committee constituted by the Government of Nepal. Rates will be verified to ensure compliance with replacement value. 4. Preparation of initial resettlement and/ or livelihood principle documents. The principle documents will contain draft policies specific to the site and based on the socioeconomic conditions of the affected communities. It shall anticipate the types of losses to be incurred by the PAPs. It shall contain feasible options for compensations based on the local conditions, including proposed assistance to vulnerable PAPs. The indicative contents of the RAP/LRP are provided in Annex 1. 5. First Round Consultation/Consultations on the options of compensations with prospective PAPs. The principles shall be presented to the prospective PAPs, particularly the options available to the PAPs. The consultations with the prospective PAPs shall result in the selection of feasible options, among others. The consultations shall be documented, and the minutes shall be attached to the RAP/LRP document. 6. Development of the RAP/LRP. The RAP/LRP shall developed using new information and incorporating the results of the first round of consultations. 7. Second Round Consultation. The RAP/LRP shall be presented to the PAPs for confirmation of the changes, the timeline and the process. The consultation shall be documented, and the minutes shall be attached. 8. Finalization of RAP/Land Acquisition Documents and Disclosed. The RAP and other documents shall be finalized based on the results of the Second Round of Consultation. The RAP and the documents shall be disclosed or made available in the communities. Once finalized, the ECO shall submit copies of the final RAP/LRP (along with other safeguards documents) for review and approval of PDO. Subprojects will not be cleared for procurement if the RAP and land acquisition documents have not been finalized and approved by the PDO. The Project implementation Manual (PIM) will clearly mention this provision. In addition to the manual, the RAP, which will be developed for the subproject that requires land acquisition, will contain detail information about the related provisions and steps of land acquisition and LRP. The approved RAP/LAD shall be posted in the MoALD's Website dedicated for the REED Project. Note that although the RAP/LAD is final, the list of PAPs, the inventory of affected assets and their values will be subject to validation and therefore changes with the concurrence of the PAPs concerned during the RAP/LAD implementation. 8. IMPLEMENTATION: LAND ACQUISITION, COMPENSATION AND RESETTLEMENT PROCESS After the RAP/LRP has been finalized it will be implemented pending final project approval. 8.1 Formal Process of Land Acquisition Where land and assets are acquired through expropriation all provisions of the LAA must be complied with. The process will be developed in the RAP/LRP to be in harmony with the sequence of events during implementation of the RAP/LRP. Where land/assets are acquired through willing buyer willing seller negotiations or voluntary donations the formal legal process of land transfer and registration will be followed. 8.2 RAP Implementation The implementation of the RAP will go in parallel with any expropriation cases. The approved RAP/LRP will already include inventories of affected assets. During the implementation process, these inventories will have to be validated. The following are the key steps in the RAP implementation process. 1. Procurement and Construction of replacement homes (if any). For physical these will be addressed by a RAP. If the RAP provides for the development of relocation site and/or replacement homes, the proponent should immediately proceed to procure and construct the resettlement site, houses and amenities. In exceptional cases the proponent may have to arrange for a temporary or transition accommodation of the physically displaced pending completion of their units at the resettlement site. This however would need to eb anticipated in the development of the RAP and signed off by all key stakeholders. 2. Implementation of Livelihood Restoration and Development Assistance. Similarly, the implementation program to reestablish the livelihoods of those who are economically displaced will be developed in the RAP/LRP. This can be initiated after the RAP has been finalized, pending project approval. Preparatory works such as community organizing works and individual training and coaching can potentially be started while the people are still in their current abodes or when land is still in their possession or even before the adverse impacts on their livelihood actually occurred. 3. Validating the Values/Amount of PAP Losses. All assets that will be affected, as identified by the RAP asset inventory, will be validated and verified in the presence of the concerned persons. The detailed survey asset information will be computerized to monitor the reestablishment/resettlement of PAPs. 4. Payments of Compensation and Actual Transfer of the Physically Displaced. Payments of compensation shall be undertaken prior to any alienation of assets. 5. Land Possession and Commencement of Construction Work. Construction works will not commence on any portion of land before compensation and assistance to the affected population have been provided in accordance with the policy framework. For lands acquired through eminent domain, construction can only commence after the proponent government agency (i.e. MoALD, the Municipality or the Province, depending on the subproject) has secured an ownership certificate on the lands. For lands acquired through donation, the construction works may not start without clearance from PDO safeguards in regard to the voluntary nature of the donation. Required proof of genuine voluntary donation are: (i) Deed of Donation stating the voluntary nature of the action, the purpose for which the land was donated, and donor's awareness of his rights to full and just compensation which he relinquished through the act of donation; and (ii) minutes of consultation clearly indicating that the affected people were informed of their rights to demand just compensation to their lands. For non-eminent domain land acquisition as in the case of lands to be used for construction of PP subprojects, the requirement would be proof of communal land ownership by the members of PP through the PP association/organization, of if not, lease contract with terms and duration that provides security of tenure on the property over the economic life of the proposed PP subproject. 8. MONITORING AND REPORTING Individual subprojects will have their own monitoring plan regarding the resettlement and land acquisition activities. These will have been developed in the RAP/LRP. The subproject will prepare monthly progress report (Annex 3) on the land acquisition activities. Internal and external monitoring will be conducted to: (a) record and assess project inputs and the number of persons/households affected and compensated and (b) confirm that the living standard of the affected persons/households improved or at least restored to pre-project level In term so internal monitoring the ECO will constantly apprise the PDO about the progress in the implementation of the ESMF (RPF, IPPF etc.) including the status of land acquisition and resettlement. The ECO will consolidate all these monitoring reports and submit the consolidated report to the PDO (See Template of Consolidated Report on Annex 4). The ECO will provide the following information, among others: 1) List of Subprojects in the Pipeline and their status in terms of RPF, providing information on the required instruments and the status of their preparation and implementation, etc. 2) List of recurring technical and administrative issues and constraints in the implementation of the RPF. The PDO will conduct purposive site visits on selected subprojects to help resolve issues or validate reports on the progress. The PDO Safeguards unit will consolidate the reports and incorporate them in the project's Social Monitoring Report (SMR)to be made available to the World Bank's during its bi-annual Implementation Support Missions. The half-yearly SMR will include implementation status of the RAP, livelihood restoration activities. The template of the SMR will be developed during the preparation of the subproject level RAP. In terms of external monitoring an independent consultant will be hired by the project for social monitoring of the project – including all sub projects. The consultant will carry out continuous monitoring of the social performance. The external monitoring will be annual. The External monitor will also prepare the project resettlement completion report. 9. GRIEVANCE REDRESS MECHANISM (GRM) 9.1. Grievances Mechanism Embedded in the Government Land Acquisition Process For PAPs subjected to expropriation, the government allows the PAP to file specific complaints during the land acquisition process. Specifically, the PAP is given a window to file a complaint to the Chief District Officer (CDO) regarding the amount of compensation being offered to him/her and, after the list of land acquisition had been published, a 15-day window to file an appeal to the Ministry of Home Affairs (MoHA) through the CDO for exclusion of in the land acquisition. 9.2. Projects GRM Available to all PAPs and other Stakeholders The project Grievance Redress Mechanism (GRM) described in the ESMF will also serve the purpose of receiving and resolving grievances regarding the implementation of the RAPs/LRPs. Each RAP/LRP will describe the GRM to be developed at a sub project level in detail. The project shall designate a grievance officer at each subproject level to receive, record, conduct evaluation, and forward legitimate grievances for resolution to the appropriate committee or body. As per the capacity building provision made in the ESMF and SEP, the designate grievance officer will be trained on dealing with GRM related to land acquisition, resettlement and rehabilitation, and livelihood restoration. In addition, the grievance officer will also be oriented on existing domestic rules and regulations related to land acquisition, the gaps in comparison to global good practices and additional measures that may be required to meet the provisions made in the WB’s ESF. The project will set up local committees at the Ward level to hear and resolve grievances. Grievances that cannot be resolved at the Ward level shall be elevated to the ECO levels. More description about the structure and functioning of the GRM will be described in the RAP/LRP that would be prepared for each sub-project. 10. CAPACITY BUILDING MoALD has experience implementing land acquisition of projects under the World Bank. These include two ongoing projects: the FANSEP and the NSLIP. The capacity building on the implementation of the RPF is incorporated in the capacity building plan of the ESMF. For individual subprojects, the proponent will be required to nominate a focal person on land acquisition activities. This person shall be required to attend a briefing on the RPF implementation before the start of the preparation of the subproject in particular on subproject eligibility, RPF criteria, gender considerations. The focal person will also be invited to attend other relevant seminars/trainings to be conducted during the implementation of the project. 11. COST ESTIMATE The cost of implementing this RPF is incorporated in the overall cost of implementing the ESMF, including staff recruitment and training. The cost of the land acquisition and resettlement activities, including the preparation of the RAP/LRPs shall be borne by the project through the Project Management component (Component 3). The cost for the payment of lands and relocation cost will be incorporated in the Subproject's construction cost. REFERENCES ADB (2013). "Country Environment Note - Nepal, Asian Development Bank Country Partnership Strategy 2013-2017". Asian Development Bank. Bhattachan K. B. (2019) Nepal in The Indigenous World 2019. International Work Group for Indigenous Affairs, Prinsessegade 29 B, 3rd floor, DK 1422 – Copenhagen, Denmark. Cosic, D., Dahal, S., and M. Kitzmuller. (2017). "Climbing Higher: Toward a Middle-Income Nepal." Country Economic Memorandum. Washington, DC: World Bank. Dahal, D.R. (2006 ). "Nepal: Preparation of National Resettlement Policy Framework for the National Planning Commission," Asian Development Bank, Technical Assistance Consultant’s Report. Project Number: 3821501 October 2006 Prepared by Dilli Ram Dahal, Kathmandu, Nepal DOR (2007). "Environmental and Social Management Framework: A guide to the environmental and social issues associated with new road construction and upgrading," Department of Roads, Ministry of Physical Planning and Works. April 2007, Prepared as part of the of the Sector Wide Road Programme & Priority Investment Plan Study by DHV Consultants in association with SILT Consultants (P) Ltd., TAEC Consult (P) Ltd. and Consolidated Management Services Nepal (P) Ltd. under funding from World Bank / International Development Agency / Road Maintenance and Development Project. FAO (2020). Gender and Land Rights Database - Nepal. Food and Agriculture Organization. http://www.fao.org/gender-landrights-database/country-profiles/countries-list/general- introduction/en/?country_iso3=NPL Ghimire et al (2017). "Governance in Land Acquisition and Compensation for Infrastructure Development" by Subash Ghimire, Arbind Tuladhar, Sagar Raj Sharma in American Journal of Civil Engineering, .Vol. 5, No. 3, 2017, pp. 169-178. doi: 10.11648/j.ajce.20170503.17 ILO (2014). Decent Work Country Programme, Nepal. International Labour Office for Nepal, August 2013. Index Mundi (2019). Nepal Economy Profile 2019. https://www.indexmundi.com/nepal/economy_profile.html MOALMC (2018). "Environmental and Social Management Framework for Food Security Enhancement Project", Ministry of Agriculture, Land Management and Cooperative Agriculture, Nepal. MoLD 2018. Nepal Livestock Sector Innovation Project Environmental Assessment Volume 1. Draft. Molnar et al (1991). Land Acquisition and Resettlement: Issues and Procedures in Nepal. Draft Working Paper. by Molnar, Augusta and Tod A. Ragsdale. Washington, DC: World Bank. February 1991. UNDP 2019. "Briefing note for countries on the 2019 Human Development Report, Nepal" Human Development Report 2019. Inequalities in Human Development in the 21st Century. United Nations Development Program. http://hdr.undp.org/sites/all/themes/hdr_theme/country- notes/NPL.pdf. USAID (2018), "Nepal Property Rights and Resource Governance" in USAID Country Profiles. USIS. https://www.land-links.org/country-profile/nepal-2/ USAID (2018). Nutrition Profile -Nepal. February 2018. https://www.usaid.gov/sites/default/files/documents/1864/Nepal-Nutrition-Profile- Mar2018-508.pdf World Bank (1989). Staff Appraisal Report, Nepal Arun III Access Road Project, Report No. 7461-NEP. May 12, 1989. World Bank (2019). "Borrowers' Environmental and Social Management Capacity Assessment and Capacity Building Plan for Strategic Road Connectivity and Trade Improvement Program," Draft. July 2019. World Bank (2020), "Nepal Rural Economic and Enterprise Development Project," Project Concept Note. World Bank (2020), "Nepal Rural Economic and Enterprise Development Project," Project Appraisal Document, Draft. March 2020. ANNEXES Annex 1. Indicative Contents of the Resettlement Action Plan – The Contents must include at least the following chapters. The key RPF, RAP, LRP related provisions and steps will be included in the Project Implementation Manual and will be rigorously followed by concerned project functionaries. 1. Introduction (State the purpose of the RAP. Mention that the RAP based on the Project's RPF.) 2. Subproject Description (Provide a brief description of the subproject and its location/site. Also discuss the land requirements of the subproject, the total area required.) 3. Status of the Lands to be Used by the Project (Discuss the ownership status of the lands to be acquired; the current land uses of the affected area. Provide a map or a sketch of the entire area, showing the land parcels to be affected and the extent of the acquisition.) 4. Socioeconomic profile of the affected community (Briefly discuss the socioeconomic conditions of the area: the demographic situation, population, number of households, density, ethnicity, livelihood, income level, income sources, land ownership, presence of Adivasi Janajati, Dalits, internally displaced (e.g., resettled earthquake victims, people displaced from armed conflict, etc), presence of other vulnerable groups (e.g. single women-headed household, elderly headed households, households with PWD, households with young children)). 5. Involuntary Resettlement Impacts (Discuss the extent of the impacts: the number of land parcels affected, the number of houses, other structure, crops and trees, impacts on livelihoods and businesses.) 6. Results of the Consultations (Discuss the minutes of the consultation conducted among the affected population: the views expressed and how these views were taken into account in preparing the resettlement plan. Note that separate consultations should be conducted on members of the Adivasi Janajati and Dalit castes.) 7. Entitlement Matrix. (Use the RPF's generic entitlement matrix to develop a more site-specific entitlement matrix based on the socioeconomic conditions of the PAPs and the results of the consultations. Note that the PAPs should be presented with feasible options during the consultations and must as a group decide on which option to avail. The final Entitlement Matrix should reflect their choice. Describe additional assistance to be extended to vulnerable persons and households.) If the Entitlement Matrix includes provision of a replacement homes in a relocation site for those that will be physically displaced, then the RAP should contain the following additional information: (i) Selected relocation site as agreed by the PAPs (ii) Site development, access road, alleyways, electricity connections, (iii) Architectural design, engineering specifications of the housing units and amenities (iv) Subdivision organization and management, if needed. (v) Cost estimate. If the Entitlement Matrix includes provision of livelihood development, the RAP will include description of the livelihood development plan: e.g. training, technical support, financial, marketing support, and budget estimate.) 8. Grievance Redress Mechanism (Describe the designation of a local grievance focal person/officer and the constitution of a community/village grievance committee as a lowest component of the multitier GRM of the project.) 9. Implementation Schedule (Discuss in detail the steps to be undertaken and schedules. Provide a Gantt chart as appropriate.) 10. Monitoring and reporting (Detailed plan for minoring and reporting) 11. Cost and Budget (Provide a table showing categorized cost estimates for all resettlement activities, including training of local staff in charge of the RAP preparation and implementation, the cost of PAP compensation and resettlement, etc. Discuss the source of fund.) Annex 2. PAP Census Questionnaire Template – Indicative and this my be supplemented with a more rigorous survey form as per assessed project risk Subproject Name and Address:_________________________________________________ Name of Interviewee: Age, sex _________________________________________________________ Relationship to the PAP: _______________________________________________________ Date of Interview: ____________________________________________________________ 1. Name of PAP? ____________________________________________________________ 2. Age of the PAP? ___________________ Gender? ______________HH head? ___________ 3. Civil status of the PAP? _____________________________________________________ 4. Number of members in the PAP household? _____________________________________ 5. What is your main occupation of the PAP? ______________________________________ 6. Estimated annual income of PAP from all sources? ________________________________ 7. How many in PAP household are earning regular incomes (incl. PAP)? ________________ 8. What is the estimated combined annual income of the PAP household? ________________ 9. How many children below 5y of age are in the PAP household? ______________________ 10. Have any of the children been diagnosed as underweight/undernourished? ____________ 11. Persons with disability in the PAP household?_____Nature of disability?_____________ 12. Are there elderly persons in the PAP household? ________________________________ 13. Has the PAP lost his home before?________How/Why?__________________________ 14. What is the total (estimated) area in hectares of all PAP landholdings? ______________ 15. What is the floor area of PAP's current house? __________________________________ 16. Does the PAP own the house he is currently living in? ___________________________ 17. Does the PAP belong to any caste?_______________which one?___________________ 18. Does the PAP belong to any Adivasi Janajati group?_______which one?_____________ 19. Does the PAP home have access to piped drinking water? _________________________ 20. Does the PAP home have electricity connection? ________________________________ Other relevant observations (about socioeconomic status, ethnicity, etc.): __________________________________________________________________________ __________________________________________________________________________ __________________________________________________________________________ __________________________________________________________________________ Annex 3. Indicative RAP Monitoring Report Template Name of Subproject: __________________________________Type (PP, LM, MEP): ____ Nature of Subproject (describe): _______________________________________________ Address: ___________________________________________________________________ Name of Economic Corridor: _________________________________________________ I. General 1. Status of Subproject (Check Status): _____Under Preparation _____Procurement _____Construction _____Completed 2. Status of Land Acquisition Activities for the Subproject (Check Status): _____Screening Validation _____RAP/LAD Preparation _____RAP/LAD Implementation _____Completed Land Acquisition/Implementation _____Completed Resettlement/Evaluation Stage 3. Issues and constraints encountered in the implementation of RPF Issues and Constraints Encountered Suggested Corrective Actions Status (Describe) II. Specific to the PAPs Status of PAPs (Use portrait orientation for more space) Name HH Vul* Land House Structure Crops Trees Livelihood Status Remarks/ of PAP Size sq m flr area flr area** area no. yes/no. *** Issue 1. 2. 3. *Vulnerability: IP, Dalit, PWD, IDP, Single Woman, Landless **Structure affected other than house **Surveyed, Assessed, Paid, Relocated Annex 4. Indicative Consolidated ECO RPF Implementation Monitoring Report Economic Corridor Name: ___________________________________________________ Reporting Period: __________________________________________________________ I. Status of Involuntary Resettlement Impacts of Subprojects (Use portrait orientation for more space) Name of SP Inst. Status Total Land House Structure Crops Bus/ Remarks/Issues Subproject Type Type PAPs Area #of #PAP #PAP Livelihood PAP #PAP 1. 2. 3. 4. SP Type: PP=PP subproject; LM=Last Mile; MEP=Market and Export Promotion Instrument Type: RAP; LAD Status: UP=under preparation; UI=Under implementation; CI= completed implementation. II. List of Recurring Issues and Constraints in the Implementation of RPF Issue/Constraint Suggested Corrective Measure Status 1. 2. 3. Annex 5. Inventory of Affected Assets – Indicative and to be finalized by the Valuation Officer for each RAP/LRP Status (Preliminary/Final): ______________________________________________________ PAP Code#/ Affected Asset Quantity Assessed Value Concurrence Name (PAP Signature) xxx01 Land x x xx (Name is Entire Home* x x optional) Structure* x x Trees x x Crops x x Total x x xxx02 Land x x xx Entire Home* x x Structure* x x Trees x x Crops x x Total x x xxx03 Land x x xx Entire Home* x x Structure* x x Trees x x Crops x x Total x x xxx04 Land x x Entire Home* x x Structure* x x Trees x x Crops x x Total x x xxx05 Land x x Entire Home* x x Structure* x x Trees x x Crops x x Total x x xxx06 Land x x Entire Home* x x Structure* x x Trees x x Crops x x Total x x *Even if only portions are affected but the remaining is no longer viable as a dwelling place, the entire home is deemed displaced. Otherwise the affected portion will be counted as part of the other structures in the property. Annex 6. Land Acquisition through Eminent Domain (expropriation) in Nepal Land Acquisition Process through Eminent Domain (Expropriation) in Nepal Steps Activity 1 Decision to Acquire Land The government/project shall nominate designate a Preliminary Action Officer (PAO) who would undertake the preliminary action. The officer should be a Gazetted Class 3 officer or Head of Office or the Project Chief. 2 Posting of Notice (Intent to The PAO will post a notice of land acquisition intent near or around the Acquire) properties to be acquired and at the VDC or Municipality Office. 3. Entry of the property to Three (3) days after posting, the PAO may enter into the subject property undertake validation/ along with employee and workers to conduct survey, map, collect samples of confirmation of suitability the soil, demarcated, etc. to confirm land suitability. During this activity, any trees, crops or wall to be demolished maybe done with the approval of the PAO and in the presence of the concerned property owner. 4. Payment of compensation PAO to determine the amount of compensation and pay the property owner for damage during the for any losses as a result of clearing and confirmation Preliminary Action 5. Filing and resolution of any If dissatisfied with the amount of compensation payment, the PAP owner shall complain about the file complaint to the District Officer. District Officer's decision is final. Preliminary Action damage compensation 6. Preparation and Submission The PAO shall complete the preliminary action within fifteen (15) days and of Report on the Findings of then submit a report containing necessary information in respect to the Preliminary Action preliminary action to the Local Office/CDO as early as possible. The report shall mention the property losses/damage during preliminary action and the amount of compensation paid. 7. Notification of Land After receiving a report of Preliminary Action Report, the local officer/CDO Acquisition shall issue a notification containing particulars about the property to be acquired, the associated assets to be affected, the purpose for the acquisition, the particulars for the information of the concerned PAP, including requirements for an application for compensation, the time-limit for the claims (i.e. fifteen days) and time-limit for felling trees or harvesting corps grown on the land, demolition of structures, etc. The notification shall be posted in the ff: (a) The local office of the project; (b) the district government office, (c) the VDC or Municipality Office, (d) Land Revenue Office, (e) thoroughfares around the subject land, (f) others. However, the local officer may, if he/she so deems appropriate and feasible, personally send a notice to property owners. 8. Land Revenue Office to After the notice mentioned has been affixed, the appropriate Land Revenue suspend all transaction Office shall suspend land title of the land. The suspension shall be lifted in relating to the title of the case the local officer directs the Land Administration or Revenue Office in land writing to that effect 10. PAP appeal period Within seven (7) days from the date of the publication of a Notice, the regarding the Notice of concerned landowner may file a complaint with the Ministry of Home Affairs, Land Acquisition the Government of Nepal through the local officer/CDO, explaining the reasons, if any, why his/her land should not be acquired. In hearing the complaint, the Ministry of Home Affairs, the Government of Nepal shall exercise the powers vested in a district court in respect to conducting local investigations. Decision on the complaints shall be pronounced ordinarily within fifteen days from the date of receipt of such complaint. Steps Activity 11 PAP submit application for Concerned person shall submit an application claiming compensation within Compensation Claim based a minimum time-limit of fifteen days, along with documentary evidence of on the Notice his/her title to the land 12. List of Entitled to On the basis of the applications received within the time-limit prescribed in Compensation the notification issued, the local officer/CDO shall prepare a list of persons entitled to compensation and issue a notice accordingly for the information of the concerned persons. 13. PAP appeal regarding the A person who is not satisfied with the list contained in the notification issued List of Entitlements may file a complaint with the Ministry of Home Affairs, the Government of Nepal within fifteen (15) days after the publication of such notification. 14. Taking possession of the After a decision has been made on the complaint or at any time after the expiry land of period allowed to file a complaint, the local officer/CDO takes possession of the land and hand it over to the Project. If any house is to be acquired along with the land, and if it is being occupied personally by the owner thereof, it shall not be taken possession of (by the local officer) unless (the owner thereof) is paid 50 percent of the amount of compensation payable to him/her, if such compensation has already been determined, or reasonable expenses in advance as required to enable him/her to shift his residence, if the amount of compensation has not already been determined.